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Directors And Officers Increasingly Liable: 1 In 4 Hit With Claims

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Between regulatory changes, increased technology troubles and everyday exposures, the past year has seen a significant increase in liability claims for senior-level business executives. Indeed, a recent survey found that nearly a quarter of senior managers have had at least one claim made against them, and over 30 per cent reported concerns of a claim headed their way in the future. 

In response to this growing culture of increased directors' and officers' liability, 70 per cent of senior decision makers said that their job responsibilities have increased in the last 12 months. In addition, over 30 per cent of respondents said there is a greater emphasis now on senior management accountability than ever before. Key business elements that have led to such liability growth include technology, political and regulatory changes, as well as environmental factors. 

Senior management can face claims from a variety of parties (e.g. employees, clients and governing body) for a range of reasons (e.g. discrimination, noncompliance and mismanagement), placing them at increased risk. And the consequences of liability concerns can be severe, including legal expenses, hefty fines and even jail time. 

Such a culture shift emphasises the need for robust D&O liability cover.

For more information, contact ICB Group today.

E: reception@icbgroupuk.com
T: 01784 608 100


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